Jensen Huang Admits Nvidia Faces Oversupply of Wafers and Memory

According to The Wall Street Journal, former Nvidia CEO Jensen Huang admitted in August 2026 that major cloud providers are shifting to in-house chips, leaving Nvidia with a massive oversupply of prepaid TSMC wafers and memory arriving like an "avalanche." Huang clashed with then-CFO and now interim CEO Colette Kress over the company's "circular financing" exposure to cloud providers and AI firms like OpenAI and Anthropic, with Kress pushing to rein in commitments. The report corroborates earlier accounts of inflated AI demand and channel stuffing.